Sichuan Yahua Industrial Group Gained a Net Profit of 330 Million Yuan in H1, and Achieved Revenue of 836 Million Yuan for Lithium Salt Materials

SHANGHAI, Aug 31 (SMM) — Yahua Group achieved revenue of 836 million yuan for lithium salt materials in H1, a year-on-year increase of 257.22%, accounting for 39.36% of operating income. 

According to Yahua Group, the revenue and profit of the company’s subsidiaries Lithium Technology and Ya’an Lithium have increased significantly on the year amid bullish demand for lithium salt and rising prices. 

Yahua Group's lithium hydroxide production capacity is third in the world, and second in China, with Ganfeng Lithium being No.1. The company have developed sound partnership with Umicore, Zhenhua New Materials, BTR New Energy Material, BYD, Xiamen Tungsten Industry. Yahua Group announced on December 30, 2020 that its subsidiary Ya’an Lithium has signed a supply contract of battery-grade lithium hydroxide with Tesla, which stipulated that Tesla will purchase the relevant products worthy of $630 million-$880 million from 2021 to 2025.

The comprehensive capacity of lithium salt products at the company totals 43,000 mt. It plans to use non-public shares to raise funds to build 50,000 mt of battery-grade lithium hydroxide and 11,000 mt of lithium chloride and other projects. The company's comprehensive production capacity plan for lithium salt products will reach more than 100,000 mt by 2025. The company also expanded multiple channels to increase the supply of lithium resources.